Tawnyowl -slow acceleration to bankruptcy

[Tawnyowl]

Just coming on here to start new thread-have many but feel this is where i am going to need most help as time passes.As time goes on i hope some of you wise ones will answer probably many questions that will come.Any help and advise will be appreciated..Have many debts and over the years have paid then not paid then made offers then taken to court then sometimes down to token payments-but really the are still there in my mind.Job was hard in winters-resulting in missed mortgage payments etc to sub prime lender-sus possession order broken-so now am waiting for final outcome-but have managed to find flat for family for when the time comes.Just weeks away i feel.In the past been to CAB-CCCS-finally PAYPLAN who agreed this is maybe best thing to do-In fact said it was.Have spent hours each week trying to sort debts with help on here-but have had enough-life to precious to carry on like this.Hope i am in right area-tawnys brain not what it used to be-if not perhaps some wise one will move it.Thankyou for reading this post Tawnyowl:(

[Tawnyowl]

Sure can-Have small Ltd company-i mean small building trade-was set up really when Gordon Brown gave tax incentives to do so-believe at the time 10 k a year no tax-everyone went for it -taxi drivers hairdressers gardeners .Of course it soon changed and was canceled i believe the next year.Accountants idea-not mine-but he was right to tell me to go Ltd.Very nearly went bust 3 or for months ago-but at last minute managed to pull it around and now am busy with 3 workers-sounds good but at moment have major cash flow prob and believe me no bank will touch me-but i wont give up.We make people so happy when work done right but takes so much time-prices don't reflect this-maybe this is a problem itself.

 

I also went down the buy to let route-council house-but maybe this wasn't a good idea-having 4 step children and 3 of my own.Only have one at home now they all have good jobs-electrician brick layer 2 i feel are going to be pro ice skaters. Other son works with me as does daughters husband.So expensive everything.Of course fell into easy route out-sub prime lender etc loans over the years-didn't go mad,but slowly week by week month by month it slipped away-just living that's all.Well ended up in right mess-still really am i suppose -that's when i came on here-received much help-but after spending hours up in room from hell writing learning fighting with banks getting things reduced to token payments-really they are still there,have left them for now as that's when suspended possession order came in with Kensington-broken now-am now packing having found flat for family before they possess me-but i will wait for that cant be far away.No equity in house-so when they poss will be chasing me for shortfalls etc-so feel flat is best as in difficulty then maybe get help with coun tax etc-not as before,subsidising with loans etc.Also the bankruptcy idea or when reality kicked in this is when i realised its going to end this way.Checked with Payplan for IVA if poss but not due to income-so slowly am heading down this road.Am definately not ashamed having tried really hard for 30 years.Just feel this thread needed to be in so i can ask questions when needed and learn -and share experiance-when going down this road.Thanks for replying-nice when that happens.

Edited August 29, 2008 by tawnyowl

[Tawnyowl]

Am going to read about many of your experiences you have been through leading up to and during bankruptcy-i know this may sound daft but i want the repo thing to go ahead- no equity-even if could afford which cant when fixed rate ends -no chance, have dealt with this by finding alternative accom-bankr thing bit scaring at mo-OR meet sounds big thing.I have read a few things about shortfalls-and maybe im wrong but things are moving fast with debts-maybe if go bankrupt before sale of house poss shortfall can be mentioned.Also one small secured CCJ on housethat sounds like poss complication.Excuse me perhaps for rambling-so much to read yet.

[Tawnyowl]

Have now really moved onto this thread-eviction date will soon be made.Have received solicitors letter saying eviction date will soon be applied for.Am now in rented accomodation because felt health of family was at risk.

Also this week received letters saying charges on house are going to be made and baliffs calling unless arrears on loan is paid.This week am going to find the forms needed to fill in and find out whether shortfall in house can be mentioned even though it is not yet known how much this will be, hoping that this may be the case.Thanks for any advice given and any other advice most welcome.Tawnyowl

Edited September 13, 2008 by tawnyowl
wasnt clear enough must have baffled you for moment tinkerbell

[Tawnyowl]

Am now reading Gizmos helpful thread

http://www.consumeractiongroup.co.uk/forum/formal-solutions-bankrupty-administration/56970-insolvency-dealing-debt.html

Just in case anyone else wants this info

Feel like things are quickening-mind is made up on the bankruptcy-has been for month or two.

[Tawnyowl]

Thank you for that helpful important post.Shortfall is a major worry for the future.I will wait for possession to take place so it becomes a unsecured debt.However after possession takes place would like to move on bankruptcy as soon as poss-pressures immense.Would i be able to say to OR possible shortfall in house needs to be included even though i do not know what this will be.Feel like shortfalls this day and age are major point to be mentioned when going for bankruptcy after repossession.Have now registered for online forms and service on the Insolvency Service Thankyou Tawnyowl

[Tawnyowl]

I also have charging orders on the property 1 at moment but others following suit suppose for the house to sell these will have to be made unsecured- but i suppose by then this will not be my concern-after Mr Baliff takes over for the mortgage company.

mmm-thread says slow acceleration to bankruptcy-feel i have just jumped into Ferrari.

Thanks for replies-Tawny

Edited September 13, 2008 by tawnyowl

[Tawnyowl]

If your debts are so serious that you face the prospect of going bankrupt, you need to be aware that there are charges for declaring yourself bankrupt. These consist of a £140 court fee and a £310 deposit to help meet the costs of the Official Receiver. So this amounts to total costs of £450:eek: which you are legally bound to meet yourself.

If you are on means-tested benefits, then you will be exempt only from the court costs of £140.

 

 

Was wondering how much it would cost now i know-better start saving now.Going to take some doing. Tawnyowl

[Tawnyowl]

Citizens Advice has two broad conclusions to the proposals set out in this consultation.

Firstly we support the proposal to remove the court from the debtor’s petition process as the court system cannot currently guarantee a quick and easily accessible service to people seeking the protection of bankruptcy. We do not currently have any evidence to suggest that any essential safeguards will be lost by removing the court from the process per se. We respond to the detailed questions on how the revised process might work below.

However, Citizens Advice does not support the current proposals for application fees for the reasons stated above. We recommend that the Insolvency Service should reconsider these proposals with a view to establishing a system of remission for low income debtors. This should provide for full remission of the application fee for applicants in receipt of the following benefits:

 

• Income support
  
• Income based jobseekers allowance
  
• State pensions guarantee credit
  
• Working Tax Credit
  
• Child Tax credit where the payment includes any of the child element
  
• From autumn 2008, income related employment support allowance
  

The remissions scheme should also make provision for full or part remission for people in receipt of low incomes who are not otherwise entitled to the benefits listed above.

At the same time we would ask the Insolvency Service to consider CAB evidence showing how the deposit acts as a more general barrier to bankruptcy for those that need it. The introduction of the DRO will help reduce these barriers but we expect many lower income debtors to continue to struggle to find the bankruptcy fee and deposit. Therefore we believe that the Insolvency Service should use this review of the debtor’s petition process as an opportunity to consider how else access to bankruptcy could be improved for lower income debtors.

In particular we recommend that the Insolvency Service consider introducing a remission scheme for the Official Receiver’s deposit fee as CAB evidence suggests that this is the single most significant barrier to accessing bankruptcy experienced by CAB clients. Indeed, based on the predicted number of cases for 2009/10 (model A) and the 44 per cent of debtors currently receiving remission on court fees, we estimate that the equivalent cost of remitting the Official Receiver’s deposit would be around £16.4 million. However, the consultation paper estimates that removing the courts from the process will save the taxpayer a minimum of £166.44 on every case, which equates to a 2009/10 saving of £18.4 million on the same predicted number of cases. This saving would be more than enough to fund a remission scheme for deposits and such an approach would seem to be in line with the government’s overall aim for dealing with the problems of over-indebtedness restated in this consultation as being ‘to improve the support and processes’ for people getting into debt.

 

 

Maybe in time there will be more help for people with low incomes- i hope so-as there must be many who just cant afford these fees.And i suppose asking charitys etc for help with these fees this day and age with i suppose increasing bankruptcys is overwhelming them.But so many people need help who surely will never be able to save these fees.

Edited September 14, 2008 by tawnyowl

[Tawnyowl]

I think these fees can be saved over a period of 6 weeks possibly.All debts and mortgage are not being paid now.Just cant keep up with them anymore-mind is muddled with it all-bin bags full of correspondence.Many debts have charges that i have only half dealt with-but maybe after bankruptcy will finish-i just don't know.

I have broken suspended possession order and received solicitors letter saying if the debt is not paid in 7 days they are applying for a eviction date -which really for me can not come soon enough.Due to conditions and stress for family have already moved out.Neighbour looking after and keeping eyes on things till Mr baliff calls. I feel this is not far away perhaps 3 weeks or so.

Really at moment first priority seems to be final possession then Bankruptcy for me and my wife but due to financial cost feel i will go first due to most loans etc being in my name.The possible shortfall is another reason to go down this route but understand this is best to do after baliffs and Mortgage company have taken possession of property.Things are moving fast with creditors applying for charging orders -baliff visits-redetermination of court decisions-and door collectors-don't mind them -tell them to clear off-and they do.Bankruptcy is right thing to do for us-that's for sure-had years of grief-enough is enough.Thankyou Gizmo for your reply your thread helped me so much-pointed me in the right direction.Bye for now Tawnyowl.

Edited September 15, 2008 by tawnyowl

[Tawnyowl]

Just quick question -have small Ltd comp-scraping along-but employing three at mo including self now what happens to them.Believe me just keeping going but like workers-and one is learning job fast-took him off unemployment.Nice lad from council estate like me-if going bankrupt would like to continue afterwards-hope it can be done.Got many ideas for business could still make it yet.

[Tawnyowl]

Tawny have you stopped paying all your debts now? How long will it take for you to save the fees?

We will see how long it will take 50 pound under mattress for bankruptcy-sure at present time not putting in bank.They don't trust each other think im going to-don't think so-noooooo way.10% Closer to amount required.

[Tawnyowl]

Sounds like the best thing to do will be to give business to son and he can immediately start new business and employ them and maybe me as well but personally feel its time to stop the 7 day weeks and give to son and just go self employed and take the slow lane-am beginning to feel the strain -only got one life-business is ok but so hard to keep paying wages -usually end up with next to nothing anyway for self.Am absolutely exhausted whats the point best to work for myself afterwards.Son is well trained and good at job -just dont have the energy to run it all anymore.Not at right age-having said that have new idea for business-maybe this is the one that may do well-nooooo better calm down .Thanks for the help and info coming on here.Feeling somehow like getting some sort of quality of life.Maybe one day will.Tawnyowl

Edited October 4, 2008 by tawnyowl

[Tawnyowl]

Tawny that is the story of self employment in the 21st century I'm afraid. Pay the staff, they think you are loaded and the reality is that you have a few pence left in your pocket. In a good week. But then you just never know what is round the corner. Gordon Brown is going to get money for small businesses allegedly. From our experience the money is never available for the right sort of small businesses - if you do web design or marketing there have always been grants, but manufacturing and hands on work always gets ignored.

 

Such a nice post-tell you one thing Goldlady having tommorow off and sleeping in maybe allday usual day up 5 bed 12ish.Are you in business gold lady have a feeling you are or have been.Anyway thanks for the reply have a nice weekend whats left of it.Tawnyowl

 

What I meant to say was I am subscribing to this new part of your life:D. Onwards and upwards!!

 

Goldlady xx[/quote

[Tawnyowl]

Certainly not taking Bankruptcy lightly but feel it would certainly help many people.Have put this link on here just in case someone may be interested.Maybe to late for me but am sure will help people in future with fees.When you go bankrupt in my case anyway there is no other realistic option,when all other options have been considered-and you are on knees nowhere to go this would be your start to a new life hopefully never to be repeated again.And do i feel guilty-well i believe the govt bale out to banks will cost 20000 pound for every man woman and child in this country-would like to know how this will be paid back -be ready for payback time.I feel guilty yes but last option.

http://www.consumeractiongroup.co.uk/forum/formal-solutions-bankruptcy-administration/152641-one-click-bankruptcy.html

[Tawnyowl]

hOPE YOU DON`T MIND ME ASKING WERE YOU ABLE TO GET THE GRANT FOR B/R

B4E

Hi im not going for a grant as soon as house is repossessed i will go bankrupt.I am saving as much as possible towards this.Got to do this.Will work and work to pay for it.Do not want to put anyone to any trouble.Feel perhaps their are better cases than mine that need these grants more.I feel i can save this money.Perhaps one of my creditors may feel generous and bankrupt me before i do.But thanks for information.Tawnyowl

[Tawnyowl]

hOPE YOU DON`T MIND ME ASKING WERE YOU ABLE TO GET THE GRANT FOR B/R

B4E

Hello again under post 47 on the link you gave me -said council tax arrears are cleared as well.Did not realise this was so-could anyone clarify this.Here is the post.

Congratulation for receiving the full grant i wish i had it too lol !

your council tax arrears will be wiped off too when you are declalred BR, mine was and i t was very straight forward . i sent my BR order and they told em straight away my arrears have been wiped off ( i had well over 4 K council tax arrears !)

Don;t feel too scared about BR it can give you a big chance to start afresh and with no worries about your creditor and so on .. the difficult part is too live within your mean and not to rely anymore on overdraft, CC etc.. i at the end of the day u owe money not your life

Edited October 13, 2008 by tawnyowl

[Tawnyowl]

Another thing i have discovered and is true believe me,Some people go bankrupt on purpose after hoarding tens of thousands of pounds of materials hidden away.Sad but they are happy.Talk about abusing the system.Wonder how widespread this is or has been.

[Tawnyowl]

You are so right tawny so in your situation you have no reason to feel any guilt. And I think that it is true about the council tax too.

 

A new start.......

Feel i had better get moving with things.Feel like Custer did at the Alamo-Indians closing in on me kind of feeling.

[Tawnyowl]

Latest on bankruptcy

1-Seems so time consuming-go to work try to keep things going come home try to get on with paperwork-what usually happens fall asleep at computer.

2-Decided instead of filling forms online to go to courts and get forms.No trouble everyone helfull including solicitor who said fill them in bring them in suggest tuesday to Friday as monday is so busy and i will go through them with you.

3 -Phoned accountant who said bring forms in i will help you fill them in -no charge -thankyou much appreciated.

4-Resigned as director of company-mmm got slight tinge of sadness doing that.Son has taken over now and kept himself and worker on as well as now paying me a small wage.

5-Transferred car to daughter who i originally bought from but as i couldnt keep payments up she asked for it back but kindly kept me as named driver.So at moment have no assets at all to offer official receiver-i know they want to see vechicle transfers made in last 2 years but all above board so nothing to fear in that dept.Thats it at the moment.

-Now up to the stage of filling debts and answers to questions in and hopefully will be done by 11th of november when house is reppossessed.Next day bankrutcy-i hope-Tawnyowl

[Tawnyowl]

Well now its seven days to repossession and 8 days to bankruptcy everything is cool except not got bankruptcy money yet-but one things for sure am going to beg borrow or -noooooooo -dont do third option-i am sure all things will come right am eternal optimist-money will arrive for bankrutcy like snow from sky falling gently onto tawnys wing and will then give willingly to official receiver or his or her representative.Anyone want to lay odds on somehow getting money for that date.7 days at work this week will raise a tenner only 400 and odd to go-watch this space it will be done.Maybe-CAUSE IT WILL NOT WAITING ANY LONGER.168 hours left and counting down.New start afterwards.Years of hell on way out-subrimers provident characters and all others baliffs etc can go back to their rat holes.Of course i caused all this myself but sure didnt see end result coming at time.Wish everyone well who is going through the long procedures of debts and worry with mortgages etc and possible shortfalls and bankruptcy worries and maybe when this is all over will be able to help with advice and become one of the wise ones.Hope so.-Tawnyowl:grin:

[Tawnyowl]

Am having second thoughts about going bankrupt straight after repossession am perhaps going to wait for month or two.perhas one of DCAs i owe to may make me bankrupt who knows.Will give me time also to see how house sale when happens pans out.Have nao assets so dont see why i cant wait and gather thoughts.Also going to have a go at claiming housing benifit and council tax benefit as have never claimed or tried to claim it before-as only on small wage may as well try nothing to lose.

[Tawnyowl]

Hi Tawny,

 

You have nothing to lsoe by waiting a little while before declaring bankrupt, it is however unlikely that a DCA will make you bankrupt as you have no assets and they will gain nothing from doing so.

 

Check here Start Calculation for an idea of the amount and what benefit you may be able to claim.

 

Good Luck.

Well filled out forms and took them to council and turns out i am entitled to some rent benefit and council tax benefit so thanks gizmo-made a big difference or will do when final calculation comes through-cheers Tawnyowl.

[Tawnyowl]

Allthough creditors are chasing hard i am thinking of trying to hang on till new bankruptcy online comes into force will be cheaper option.One-click bankruptcy sparks concern

 

 

Fears are growing over new bankruptcy procedures that could allow those in debt to write off their obligations with a click of a mouse

 

 

 

Moves to open up insolvency methods ­ called debt relief orders ­ will mean individuals could begin bankruptcy proceedings for themselves or others online. There are concerns individuals may use the scheme against people they have a grudge against.

Mike , insolvency partner at , believes people may ‘get sloshed’ and think it is a ‘good idea to start Bankruptcy proceedings’. ‘One of my concerns is that you don’t have to go to court, you could actually make someone like your old headmaster bankrupt. No-one will know until they receive a letter,’ he said.

Although the policy will reduce the burden on courts and costs the debtor £100 compared to the current £500 to file proceedings, there is a fear that personal insolvency will be taken too lightly.

The Insolvency Service is currently working on the plans, expected to be introduced in April 2009.

 

what you think of this??

Took this of Blue For Evers thread-THANKS.

Edited December 4, 2008 by tawnyowl

[Tawnyowl]

Read the other day in the sun that one of the top television debt advisors has gone bankrupt.Nobodys immune all it takes is a change in circumstances.Good luck to all facing this prosect tawnyowl.